CGT and Insured Investment policies

patrickjd

Registered User
Messages
96
If I cash in my Irish Life investment policy (ex Quinn LIFE freeway) they take the tax at source. Does this mean I cannot use my CGT allowance against my profit? I am guessing the answer is yes but finding it hard to get confirmation on this.
 
When you make your return for the year in question, the tax calc will give you credit for any tax deducted at source by Irish Life, details of which will be returned directly to Revenue anyway.
What type of tax is being deducted I don't know so if its not a Capital tax then maybe not
 

It's an "exit" tax on "investment profit" according to their website.
 
Profits on Life Assurance based investments are not subject to CGT. Any growth on the fund is taxed at source under "exit tax" rules. You then have no further tax liability. However you cannot offset any such exit tax against either your CGT exemption limit or against any other investment losses.
 

Thanks Conan, good info.